(Photo: Reuters) Thorsten Heins, CEO of BlackBerry (NASDAQ:BBRY) introduces BlackBerry 10.
Techies as well as analysts appear not too impressed with BlackBerry's quarterly report on Thursday, March 28, which disclosed the shipment of 1 million units of the BBZ10 and revenues of $94 million.
Although they concede that the $94 million GAAP income on revenues of $2.7 billion is a lot of improvement compared to the $125 million net loss that BlackBerry logged for the same quarter in the previous year, subscribers actually fell to 76 million from 79 million the previous quarter.
The decline in subscribers came despite selling in the same period 5 million of its older smartphones and 370,000 PlayBook tablets.
With actually flat revenues, the analysts said the rise in profits is more because of cost-cutting measures aggressively pursued by BlackBerry Chief Executive Officer Thorsten Heins.
While two-thirds to three-quarters of the one million BBZ10 devices that BlackBerry shipped during the last three weeks of the quarter were sold, the bulk of the sales data would only be reflected on the next quarterly report.
Morningstar analyst Brian Colello said the one million units is a good start for the Canadian firm which once ruled the smartphone market, until Apple and Samsung upped the game with better units.
"I think the encouraging thing is that BlackBerry was still able to sell a good portion of older models and generate solid service revenue during the transition. I think that will be important in terms of cash balance and profitability," Reuters quoted Mr Colello.
However, the markets appears unimpressed based on only 2.3 per cent rise in BlackBerry share value on Friday midday trading at NASDAQ compared to the 10 per cent gain when the quarterly report just came out.
This article is copyrighted by IBTimes.com.au, the business news leader